T-Mobile is buying Mint Mobile in potential $1.35B deal2023-03-16 17:48 by Daniela
Tags: T-Mobile, Mint Mobile
T-Mobile is boosting its prepaid offerings. The nation's second-largest wireless carrier announced on Wednesday that it has reached a deal to acquire Ka'ena Corporation, the parent company of prepaid wireless brands Mint Mobile and Ultra Mobile, as well as wireless wholesaler Plum.
Mint is the prepaid brand that many people have seen advertised by actor Ryan Reynolds, who owns a stake in the company. T-Mobile said it will pay up to a maximum of $1.35 billion, in a combination of 39% cash and 61% stock, to acquire Ka'ena.
T-Mobile hopes to boost its own prepaid services with the acquisition of Mint Mobile. CEO Mike Sievert assured customers that Mint's $15 per month pricing plan would stay in place in a YouTube video Wednesday featuring Reynolds. The brand's two founders will also stay on to manage what "will generally operate as a separate business unit," according to the release.
"Over the long-term, we'll also benefit from applying the marketing formula Mint has become famous for across more parts of T-Mobile." wrote Sievert.
The deal is expected to close later this year, with the final price dependent on Ka’ena’s performance.
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